Modern Denim Ltd

AGM content status

• No AGM date, mode, resolutions, or voting outcomes are present.

Financial performance

• Revenue from operations: 2,289.67 Lakhs; total income: 2,323.99 Lakhs.
• Total expenses: 3,059.16 Lakhs; loss before tax: (890.48) Lakhs.
• Profit after tax: (890.48) Lakhs; earnings per share: (2.37) Rs.
• No dividend declared for FY2025-26.
• Geographic split: India 1,557.43 Lakhs; Rest of World 732.24 Lakhs.
• Top five customers contribute 51.49% of revenue.

Capital structure & liquidity

• Total debt (long+short): 8,702.31 Lakhs; cash: 16.70 Lakhs.
• Net debt: 8,719.01 Lakhs; gearing: (1.16x).
• Equity negative: (7,529.82) Lakhs; current ratio: 0.88x.
• Dividend for 2025-26 not recommended; liquidity remains tight.
• Current portion of debentures: 304.18 Lakhs; short-term borrowings: 933.31 Lakhs.

Operations & geography

• India revenue: 1,557.43 Lakhs; Rest of World: 732.24 Lakhs.
• Inventories: 1,404.92 Lakhs; finished goods: 1,257.75 Lakhs.
• Trade receivables: 314.74 Lakhs; impairment: 302.49 Lakhs.
• Total current assets: 2,127.75 Lakhs; PPE additions: 1.13 Lakhs.
• Plants located in Rajasthan and Gujarat.

Governance & management changes

• Independent Director Rahul Singhvi reappointed for second term from 1 Oct 2026.
• Joint Managing Director Suvrat Ranka appointed Jan 9, 2026; postal ballot March 3, 2026.
• Board had 6 directors; independent directors include 3 IDs; board meetings held as required.

Audit & going concern

• Auditors: M/s J.T. Shah & Co. issued qualified opinion under Ind AS 109.
• Material uncertainty about going concern due to rehabilitation scheme and NCLT process.
• Secretarial audit: no material observations; governance processes in place.

RPT & CSR

• Related party transactions were at arms' length; no material RPT reported.
• CSR: not required due to negative profits; CSR policy disclosed online.

Shareholding & capital

• Promoter group holds 36.56%; Vijay Beneficiary Trust 36.54%.
• Mutual funds/insurance hold 27.36%; Indian public 28.73%; NRIs 1.83%.
• Equity share capital: 3,750.20 Lakhs; single class of equity shares.
• Equity share application money: 1,600 Lakhs; under scheme awaiting approvals.

Scheme & regulatory

• NCLT order dated 22 Jan 2026 allows re-approach for final sanction of the scheme.
• Company pursuing stock-exchange/regulator approvals; scheme relates to Modern Insulators.

Board appointments

• Appointed Jatin Kothari as Non-exec Independent Director; effective 21 Sept 2026; per Board/NRC recommendation; shareholder approval pending.
• Appointed Subodh Krishan Dutt Paliwal as Executive Director; effective 21 Sept 2026; per NRC recommendation; shareholder approval pending.

Key Decisions

• Board approved unaudited standalone quarterly results for quarter ended 30 Jun 2026; Limited Review by J T Shah.
• Results prepared on going concern basis with material uncertainties disclosed.
• Rehabilitation scheme under Sections 230-232 of the Companies Act; NCLT order Jan 27, 2026; stock exchange approval pending.
• Company refiled with BSE to obtain requisite approvals.
• Not recognised interest on certain financial liabilities due to expected waiver under rehabilitation scheme.
• Non-current borrowings not fair-valued; unwinding of financial liabilities not provided (Rs 122.97 lacs).
• Auditors issued Limited Review Report; overall opinion not qualified.
• Company to reapproach NCLT after regulatory clearances.

Key outcomes

• Board approved Standalone Audited Financial Results for quarter and year ended 31 March 2026.
• Independent Auditor's Report is qualified due to non-recognition of interest on financial liabilities under Ind AS 109.
• Negative net worth of Rs 7529.82 Lacs; going concern maintained; approvals pending.
• NCLT order dated 22 January 2026 disposed petition; liberty to reapproach after stock exchange approvals; re-submitted to BSE.
• Rehabilitation and Amalgamation scheme relief expected; deposits and IEPF transfer not required.